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Cooperative Federalism Dual Federalism
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Shared administration
Dual Federalism - National government and states operate in own “spheres” Cooperative Federalism – share and overlapping powers and responsibilities Shared costs Federal guidelines Shared administration
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Examples: Education
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Examples: Education Highways
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Democrats v. Republicans
Democrats (generally) favor increasing federal power Republicans (generally) favor state control Devolution – returning control to the states
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Fiscal Federalism
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Taxes Strings and Conditons
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Fiscal Federalism 21% of funds spent by states 16% of the federal budget Types of grants-in-aid Categorical grants – must be used for specified purposes Conditions attached Crossover sanctions – influencing policy of unrelated program
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Fiscal Federalism Types of grants-in-aid Categorical grants – must be used for specified purposes Conditions attached Crosscutting requirement – condition extends to all activities supported by federal funds
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Fiscal Federalism Types of grants-in-aid Categorical grants – must be used for specified purposes Conditions attached Types Project
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Fiscal Federalism Types of grants-in-aid Categorical grants – must be used for specified purposes Conditions attached Types Project Formula (Medicaid)
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Fiscal Federalism Types of grants-in-aid Block Grants – broad discretion by states in spending Mandate – requirement to abide by federal rule or lose funds Medicaid Unfunded and underfunded mandates
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